iPhone update - iTunes/iPhone won't contact update server

[rezerection]

Hi Guys,

Have a problem with my iPhone, I have been trying to update to 3.0. I connect my phone, hit update but get the same re-occurring error. "iTunes could not contact the iPhone update server, please make sure you are connected to the internet"
Obviously I am connect to the internet, I can search through iTunes store and get the data through there. Is there something I am missing? It only happens when I connect the iPhone to the PC.

Using iPhone 3G, from Australia.

Cheers

[iBookG4user]

First I would try restarting the computer and then make sure that you have all of the latest iTunes updates.